College Town SFH?

Question

I am looking for my 3rd SFH, many in my area are near a university.

If renting to students, are similar landlords finding a 12 month lease really ends up being 9 (for the college year only, skip out on summers)?

Any college town advice?
Thank you.

Julian L. · Answer

I've owned a handful of SFR's near college campuses. I love them because they are never vacant. I required leases for 12 months with a month's deposit and never had any issues.

Adam Christopher Zaleski · Answer

I own a 4 bed/2 bath approximately .6 miles from a state University with 31,500 students. There are not many SFH within 1 mile, so SFH rent a premium. Many apartments are available, but juniors and seniors prefer to share houses. The majority of leases are August 1 - July 31st. People in town call it "turn week" More than half of the people in my neighborhood move during that week. Most students leave for the summer, but they still have to sign a one year lease if they want to get a house. I made students fill out an application that takes them about 2 hours. I only entertain offers from people who have a complete application. I usually have about 10-15 people that say they want it but only about 5 that actually complete a full application. Over the past 3.5 years I haven't had any problems. I have had two different sets of students over the past 4 leases. I tell them that if the house is spotless I won't raise the rent and they can stay for a second year. They keep that house cleaner than when I lived there.

Colleen F. · Answer

One thing is not to let students get confused on who you are with the hand holding aspects.  Yes, I explain more to the students, lots more detail on how to get your electric turned on, you have to leave the heat on over break. I send more email reminders over break etc to say if you aren't going to be home let us know and we will have someone check the place.  On the other hand we are quite clear on move in that we are the landlord. I will come out  and say I am not your mother so I am not coming by to tell you to put out the garbage, you will get a  notice of non-compliance with the lease for violations, I will charge late fees etc. I always cover parties in detail on move in something I never do with non-student renters. Its a balancing act.  Parents vary- I usually say to the parents to have the tenants contact me for issues instead of calling home but you may still hear from the parent.

Carl C. · Answer

I have a college rental and I have found that it takes a little more hand holding for the students than I expected. @Colleen F. is right that you need to make sure they know how and when to put out garbage (instead of piling it in the basement, in my case) and make sure you are clear about parties. My tenants are nice guys but they are just kind of dumb. Toilet was running one time when I stopped by and they didn't realize it was a problem. Sewer backed up in the basement and they didn't realize. Parent's are way more involved than they ever were when I was in school. I didn't expect to hear from them at all but they don't hesitate to email or call me for little things.

AHMAD S. · Answer

Everybody on forum gave good advice. I personally would only rent to more responsible graduate students that doesn't drink and party.  It's more conservative, at least your future rental won't be party or animal house like the movie :)

Colleen F. · Answer

I do college rental. We have 9 month leases more turnover but it is a beach town too. I like the start in June if it is 12 month lease, good idea. College students are a a bit different then dealing with grownups. We have parents co-sign and you need to go over things like putting out the garbage and when to call you about broken things as well as partying. We mostly get undergrads. Grad students are different but they are harder to come by and tend to live alone or in twos by us.

@Ciro LoCascio Have the tenants pay the utilities. You can get switch to owner set up on electric if that is an issue in terms of them maybe not paying and having the heat go off. You also need to have a fuel deposit if it is oil or propane.  If you pay utilities they will be wasteful.  They might be wasteful anyway but at least you won't be paying. Good luck.

Kelly N. · Answer

Hi Joe,

We are purchasing out second triplex in a college town.  From what I've seen, most do one year leases, and if they aren't for one year they tend make them turn over at the same time of year (1-2 weeks before fall semester starts).   Out of our 6 units, two turn over in the spring and the rest are up in August.

They either stay for the summer, sublet them, or just pay anyhow- just part of off campus housing.  It was the same when I went to school, but worked out cheaper than staying in the dorm.

Hope that helps,
Kelly

David Sisson · Answer

I live in a college town. The rentals are one year leases and they begin in June.  My realtor and his brother own college rentals and they love them. I would try them but there is kind of a "lock" on the prime rental properties and it is hard to get one.

College Town SFH?

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